Thank you DXS!!! Yes, you are right...it was on the capital gain form. The prompt that says, "is this proceed from QOF?" The question is tricky...since, in my case, technically, it's proceed GOING to QOF (Z code); whereas from QOF (Y)... So, i didn't click that box before. TA needs to add "to/from" on the question. Bottomline, I would have given up long ago...but because YOU said you did it successfully and your hint really helped me figuring it out. THANK YOU.
For anyone else:
Once you click that...the drop down box several screens down will now have Z or Y...also, a box to input your adjustment (negative of the original capital gains). Also, something i notice...if you import your capital gains directly from your brokerage firm, even IF you click "yes" to QOF proceed, the Z/Y codes will not show up in the drop down. It's OK...since you don't want to edit that original gain, but to add a new entry with (Z) and a negative number to offset the original gain. All of this is in accordance to "How To Report an Election To Defer Tax on Eligible Gain Invested in a Qualified Opportunity Fund (QOF)" found in https://www.irs.gov/instructions/i8949#en_US_2021_publink100021498. TA does it correctly...even selecting the correct (C/F -- short/long gains not reported on 1099) on the 8949 for you... I'm impressed... A bit clunky to use/learn, but after you get used to it...I feel like it's FASTER since you can click on the exact forms you want and not needing to answer a bunch of Q&A again.
**For those who wonders how to populate PART II of 8997 -- it's automatic once you code your capital gains as (Z)...remember the negative number.
NOT TAX ADVICE...just paying forward with my simple-minded understanding. thank you all again!
